Humana stock: buy or sell?
July 16th, 2019
Humana Inc., together with its subsidiaries, operates as a health and well-being company in the United States. The company operates through four segments: Retail; Group and Specialty; Healthcare Services; and Individual Commercial.
Should I buy Humana stock?Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. That's why is so important to choose your own trading strategy that matches with your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.
None of our preferred buy setups matches with Humana stock situation right now, therefore this is not a suitable entry point.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Humana stock a buy?
Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness.At Stocks2.com, we collected 12 ratings published for HUM stock in the last month. The general sentiment of these ratings is bullish for HUM stock, with 10 positive ratings.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-5-2||Credit Suisse Group||n/a||Outperform|
|2019-2-7||Credit Suisse Group||n/a||Outperform|
Humana stock analysis
Humana depreciated a bad -0.35% and closed at $284.32.
Humana shares depreciated -0.35% to $284.32 today. From a daily perspective, HUM is in a short term uptrend after plotting its last bottom ($259.18, on July 9th) higher than the previous bottom, and its last top ($291.39, on Friday) also over the previous top. Now trading in between its last bottom and last top HUM might consolidate in a plain range, waiting to break out over $291.39 or down under $259.18.
After boosting an outstanding 9.13% in a week last week, Humana closed this week at $284.32 and dropped a rough -2.38%. Late May HUM plunged a chilling -7.54% in just one week.
Humana stock is trading in the range of its last top and last bottom. Loosing would mean breaking the current uptrend. Breakdowns under last bottom are selling point signals for some trading strategies. Since last week when HUM stock price broke up the SMA40w line, it gained $19.67 (7.43%). Far behind is the all-time high Humana marked early November and since then the price is -19.63% below that top.
Humana stock price history
Humana IPO was on December 31st, 1981 at $2.04 per share1. Since then, HUM stock surged a 13,837.30%, with a yearly average of 374.00%. If you had invested $1,000 in Humana stock in 1981, it would worth $138,373.00 today.
1: Adjusted price after possible price splits or reverse-splits.
Humana stock historical price chart
HUM stock reached all-time highs on November with a price of $353.77.
Humana stock price target is $328.20Nobody can reliably foresee how stock prices may evolve in the future. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. You should not follow the analysts' HUM stock price predictions in the hope that they will be met as they may be wrong and not met. We detected 9 price forecasts for Humana stock published in the last month:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-7-12||Morgan Stanley||Lowers Target||$331.00||$315.00||-4.8%|
|2019-5-2||SunTrust Banks||Lowers Target||n/a||$300.00||-|
|2019-5-2||Morgan Stanley||Set Price Target||n/a||$331.00||-|
|2019-5-2||Credit Suisse Group||Reiterates||$352.00||$315.00||-10.5%|
|2019-2-7||Credit Suisse Group||Reiterates||$390.00||$352.00||-9.7%|
Financials and fundamental analysis
Earnings date and Earnings per ShareAfter posting its last earnings report on April, Humana escalated a shining 11.55%. As soon as we get its actual EPS from the earnings report, we will update this report.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual sales report draw a nice growth of 5.85% to $56,912.00 M USD. In contrast, its income margin (compared to sales) decreased to 2.96%, that is $1,683.00 million. To have an updated view of the financial situation of Humana, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual Humana TTM sales up to March 2019 were $58,740.00 and income was $1,758.00 million dollars. If we compare this TTM figures with the last reported annuality, we can review Humana business evolution since December 2018: Annual sales up to March, compared to lastest yearly report, raised a good 3.21%. Regarding profit margin, Humana stayed constant 0.04% to 2.96%
|2013||$41,310 M||-||$1,230 M3.0%||-|
|2014||$48,500 M||17.40%||$1,147 M2.4%||-6.75%|
|2015||$54,289 M||11.94%||$1,276 M2.4%||11.25%|
|2016||$54,379 M||0.17%||$614 M1.1%||-51.88%|
|2017||$53,767 M||-1.13%||$2,448 M4.6%||298.70%|
|2018||$56,912 M||5.85%||$1,683 M3.0%||-31.25%|
|TTM||$58,740 M||3.21%||$1,758 M3.0%||4.46%|
Quarterly financial resultsHumana reported $16,107.00 million in sales for 2019-Q1, a 13.69% improvement compared to previous quarter. Reported quarter income marked $566.00 million with a profit margin of 3.51%. Profit margin stepped up a 1.01% compared to previous quarter when profit margin was 2.51%. When comparing sales to same quarter last year, Humana sales marked an amazing gain and rocketed a 12.80%.
|2017-Q2||$13,530 M||-||$650 M4.8%||-|
|2017-Q3||$13,282 M||-1.83%||$499 M3.8%||-23.23%|
|2017-Q4||$13,189 M||-0.70%||$184 M1.4%||-63.13%|
|2018-Q1||$14,279 M||8.26%||$491 M3.4%||166.85%|
|2018-Q2||$14,259 M||-0.14%||$193 M1.4%||-60.69%|
|2018-Q3||$14,206 M||-0.37%||$644 M4.5%||233.68%|
|2018-Q4||$14,168 M||-0.27%||$355 M2.5%||-44.88%|
|2019-Q1||$16,107 M||13.69%||$566 M3.5%||59.44%|
Humana ownershipWhen you are planning to invest in shares of a company, it's worth to overview its ownership structure.
Humana shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.20% of all shares.
Bearish positions for HUM stock account 0.00%, no big difference from last month.
For a better context understanding, the next table shows ownership data compared to other related stocks:
|Market cap||$38.4 B||$78.9 B||$9.4 B||$8.9 B||$252.8 B|
|Total shares||135.0 M||257.2 M||173.6 M||62.6 M||950.3 M|
|Float shares||134.7 M||256.9 M||407.9 M||52.0 M||944.3 M|
|- Institutional holdings (%)||96.4%||91.4%||92.3%||106.5%||88.2%|
|- Insider holdings (%)||0.2%||0.2%||2.4%||0.8%||0.6%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Tuesday, July 16th, 2019|
|Day range||$283.07 - $287.45|
|Average true range||$7.30|
|50d mov avg||$255.97|
|100d mov avg||$261.50|
|200d mov avg||$284.79|
Humana performanceStocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. In the following table, we compare Humana performance to Anthem, Centene, Molina Healthcare and UnitedHealth:
Humana competitorsOne check before trading any stock is to review a list of its competitors, in this case for Humana. We picked 4 companies as Humana competitors as they are in the same industry or have similar market objectives.
Latest Humana stock news
- Seeking AlphaHumana Set To Recover Losses Or Is Medicare For All A Threat?April 29, 2019
- Seeking AlphaHumana Inc.: An Intact Growth Story For A Decent Price?April 1, 2019
- Seeking AlphaPositive Earnings Report, Growth In Its Flagship Product And Focus On Personalised Health: Humana A Strong Growth Proposition For Short To Medium TermFebruary 26, 2019